August 25, 2025 | JacobiJournal.com – A Canton man has pleaded guilty in a $4 million Medicare durable medical equipment (DME) fraud scheme involving medically unnecessary orthotic braces and deceptive telemarketing practices. The scheme is part of a broader federal crackdown under the $14.6 billion nationwide Healthcare Fraud Takedown.
Federal prosecutors announced that a Massachusetts-based DME provider admitted to defrauding Medicare by billing for orthotic braces that were either not medically necessary or never provided to patients. The defendant, whose identity was released in court filings, used aggressive telemarketing tactics to obtain patient information and physician orders, often without proper medical evaluation.
Between 2018 and 2022, the defendant submitted millions in false claims to Medicare for back, knee, wrist, and shoulder braces, resulting in more than $4 million in fraudulent reimbursements.
How the DME Fraud Scheme Worked
According to the Department of Justice, the Canton man paid overseas and domestic telemarketing companies to cold-call Medicare beneficiaries, offering free or low-cost medical equipment. Once the patient information was obtained, the scheme funneled bogus or forged prescriptions through complicit medical professionals. These orders were then billed to Medicare, even though many patients never received or needed the braces.
The DME company also allegedly disguised kickbacks as “marketing fees” and “consulting payments” to conceal the fraud.
Federal Crackdown and Takedown Operation
This case is part of the U.S. Department of Justice’s 2025 National Healthcare Fraud Enforcement Action, which has resulted in criminal charges against over 200 individuals nationwide. The coordinated action targeted schemes involving telemedicine, DME fraud, pharmacy billing, and opioid distribution — with total intended losses exceeding $14.6 billion.
DOJ Statement on the Guilty Plea
“Healthcare fraud drains taxpayer dollars, endangers patients, and undermines trust in our medical system,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “This guilty plea sends a strong message to those exploiting Medicare: we will hold you accountable.”
Sentencing for the defendant is scheduled for later this year. He faces up to 10 years in federal prison, restitution, and forfeiture of assets acquired through fraud.
Workers, Patients & Providers: Know Your Rights
Medicare beneficiaries are urged to report suspicious calls, billing statements, or unsolicited medical devices. Healthcare providers should maintain strict compliance programs and verify telehealth claims carefully.
For full details on this case and other healthcare fraud enforcement actions, visit the U.S. Department of Justice – District of Massachusetts official press release section.
FAQs: Canton Man Pleads Guilty
Who is the Canton man that pleaded guilty in the Medicare DME fraud case?
The man who pleaded guilty was the owner of a DME company that used telemarketing and false medical claims to bill Medicare for unneeded orthotic devices.
What was the total amount involved in the DME fraud scheme?
The man pleaded guilty to defrauding Medicare of over $4 million through false claims for unnecessary medical equipment.
How does this DME fraud case connect to the nationwide healthcare fraud takedown?
This DME fraud case is part of the broader $14.6 billion healthcare fraud takedown, which involved hundreds of defendants across the United States.
What penalties could he face after pleading guilty?
He could face up to 10 years in federal prison, restitution payments, and forfeiture of any assets obtained through the $4 million fraud.
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